Democrats still aiming to have a budget by week's end

Friday

Illinois House and Senate budget negotiators were working late Thursday trying to reach a compromise on a new state spending plan that could be voted on as early as Friday (5/30).

Illinois House and Senate budget negotiators were working late Thursday trying to reach a compromise on a new state spending plan that could be voted on as early as Friday.

To do that, though, will require agreement on some of the most expensive parts of state government, including public school funding, human-service programs and higher education.

Despite those unresolved issues, Sen. Donne Trotter, D-Chicago, said the budget remains on target to be approved by Saturday, the General Assembly’s deadline to finish the spring session.

“We’re in a good place right now,” said Trotter, the Senate Democrats’ top budget negotiator. “We’re 92 percent agreed on.”

Democrats in both the House and Senate are adamant about passing a new budget by the end of the week to avoid another protracted overtime session. After Saturday, it will take Republican votes in the House to approve a new budget, further complicating negotiations.

Using only votes from Democrats, the House sent two spending bills Thursday to Gov. Rod Blagojevich — Senate Bill 1115 and Senate Bill 1129 — covering mostly smaller state agencies and commissions. The lone exception was the Illinois Department of Transportation that gets the majority of its money from the state gasoline tax.

Republicans voted against the bills, saying they were excluded from budget negotiations. They also complained that by passing several budget bills rather than one piece of legislation that covers all state spending, the final budget could be out of balance.

“This is the most bogus budget boondoggle I’ve seen,” said Rep. Rosemary Mulligan, R-Des Plaines. “This is a totally dysfunctional way of doing a budget.”

Rep. Gary Hannig of Litchfield, the House Democrats’ budget negotiator, acknowledged that it’s possible lawmakers will approve more spending than the state can afford.

“If the governor thinks the budget we send him is out of balance, he has the ability to reduce it,” Hannig said. “It’s certainly possible he will have to use his veto pen.”

Senate Democrats approved two bills that are key to balancing a spending plan for the fiscal year that begins July 1. Senate Bill 790 takes $530 million out of special state funds, and Senate Bill 788 allows the state to issue $16 billion in bonds to apply to the state’s pension debt. The bond issue frees up about $500 million that can be used for other spending.

Both bills face an uncertain future in the House, especially the bond bill that requires a three-fifths’ majority, meaning Republican votes, to pass. Hannig said Republican opposition to the spending bills indicates they will not vote in favor of the bond legislation.

Trotter said negotiators are looking at other ideas to shore up the budget, including ending some business tax breaks or hoping the state can sell an unused casino license in the next year.

At the same time, lawmakers don’t know just how big the final budget will be. Negotiators have yet to decide how much of an increase public schools should get next year. A Senate budget plan suggests $475 million, while the House wants $550 million.

The two chambers also disagree on how much of an increase should go to various human-service programs, with the House Democrats wanting to spend more than the Senate.

“That’s an area of contention,” Hannig said Thursday.

Additionally, there was no agreement Thursday on what, if anything, to include in the budget to cover salary increases for union employees. The state and the American Federation of State, County and Municipal Employees are in contract talks, and negotiators could decide during the fall veto session to add money for pay hikes, after a contract is resolved.

Trotter said the Democrats’ proposed budget does not include money to cover salary increases for lawmakers and top state officials, including Blagojevich.

Doug Finke can be reached at (217) 788-1527 or doug.finke@sj-r.com.

What’s at stake?

If a budget isn’t passed by the spring session’s midnight Saturday deadline, a three-fifths’ supermajority vote in both the House and Senate will be required to pass it.

The Democrats have enough of a majority to do that on their own in the Senate. But their majority in the House is not as big, meaning Republican votes would be needed.

The state’s fiscal year begins July 1.

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